"Central
government spends £7bn a year on IT, with the majority of the largest
contracts that make up this spend coming to an end in 2014-15. We have
made sure that the barriers to entry that government put in the way of
small businesses have been lifted," said a Cabinet Office report.

"Competition
in procurements will be encouraged, with no like-for-like extensions to
existing contracts. Programmes will be disaggregated for commercial
purposes - broken down into components supported by the market to enable
many suppliers to bid. This will open the door to new vendors to bid
for government business."

This could really shake up the IT
services sector in the UK. I wonder if this will be a major door opener
for the offshore IT service providers, in particular the Indian players.